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Uber and Lyft are two of the largest rideshare companies in the world, and their humble start in Silicon Valley made way for an entirely new type of vehicle coverage in the area: California rideshare insurance.
And it’s for good reason.
California is home to more rideshare drivers than any other state. So it makes sense that this new type of insurance would be pioneered here.
Which Companies Provide California Rideshare Insurance?
Allstate, Farmers, Liberty Mutual, Mercury, Met Life, State Farm, and USAA are six of the largest players that currently offer California rideshare insurance.
The policies that these companies offer range widely in scope, and each one offers a different type of coverage for different reasons.
Let’s take a look at each.
Allstate’s California rideshare insurance policy adds an additional layer to a driver’s personal insurance policy, focusing in on Period 1.
In addition, these types of policies also offer coverage to bridge the “Coverage Gap” that arises when drivers are logged into a rideshare app and waiting for a passenger request to come in.
Their “Ride for Hire” policy adds an extra layer of protection to allow drivers to pick up and drop off passengers without losing sleep over their coverage. Policies can cost as little as $15-20 per year, making Allstate a great option for California drivers looking for rideshare insurance.
Liberty Mutual insurance in California is another great option for rideshare drivers. This company offers policies at competitive rates and offers extensive billing options.
And don’t quote us on this, but from what we’ve found it seems like some of their personal auto insurance policies might possibly extend to rideshare.
As I said, we don’t know for sure, but it looks like this might be the case based on one recent forum post for Uber drivers. It’s worth a call to your insurance agent to find out.
A Mercury California rideshare insurance policy is another option to consider when shopping around.
According to their website, “Mercury Insurance can provide the coverage you need, and the best part is that it can cost as little as $0.20 a day! That’s right, you can protect your vehicle, family and livelihood for as little as a few pennies a day.*”
These types of policies aim to fill the Coverage Gap, providing drivers with high quality insurance that extends coverage in Period 1.
MetLife, one of the nation’s leading insurance companies, recently announced unique coverage options, including a policy that offers California rideshare insurance coverage.
MetLife’s rideshare insurance policy “offers coverage for rideshare drivers at every stage of the trip: while the driver is logged into the app and waiting for a passenger request, is en route to pick up a passenger, and during the trip with the passenger.”
The cost of the premiums on these types of policies vary based on the amount of miles a drivers actually drives.
If you’re looking for California rideshare insurance, another great option is to check out State Farm’s Rideshare Driver Coverage.
Having a policy from this company will cover drivers in Period 1, Period 2, AND Period 3. This adds just another robust layer of coverage to shield you from liability and unwanted expenses in case of an accident.
A policy from State Farm in California, according to their website, adds about 15 to 20 percent to a current State Farm premium, depending on the coverage options chosen.
If you’re looking for a California rideshare insurance option that starts at only $6 per month, then look no further than USAA’s policy.
The policies offered by this company add another layer of protection to drivers, helping offset the cost of car repairs, medical bills, and other accident-related expenses.
In addition, there’s an entire suite of coverage options to meet most budgets and needs. This opens up the door for most drivers, leaving them with little excuse to not be covered.
The kicker to USAA is that they only serve military community members and their family. While a great option, the offerings are limited to a certain group that most people won’t be eligible for.
My Take: Cheapest Rideshare Insurance California
It’s hard to tell which option from above is the cheapest California rideshare insurance policy. The prices of each policy really just depend on your driving record, coverage levels, and a variety of other factors that are unique to you.
What we can say, however, is that drivers should shop around and price out as many different quotes as possible.
What is the best California rideshare insurance policy? Which would you recommend to other drivers? Let us know in the comments below!
Brett Helling is the owner of Ridester.com. He has been a rideshare driver since early 2012, having completed hundreds of trips for companies including Uber, Lyft, and Postmates. In 2014 he acquired Ridester.com to share his experiences with other drivers. His insights are regularly quoted by publications such as Forbes, Vice, CNBC, and more. He is currently working on a book about working in the Gig Economy, expanding his skill set beyond the rideshare niche. Read more about Brett here.